Seekings & Ors v Moores & Ors [2019] EWHC 1476 (Comm)

Defendant fails to demonstrate significant developments under PD3E s7.6 to secure budget increase

The was an application by the defendant in a business dispute to upwardly revise his costs budget under PD3E s7.6 by reason of various ‘significant developments’ in the litigation including additional costs involved in answering a request for further information and an increase in the number of documents that had been required to review. The application was unsuccessful primarily due to the fact that the increased costs had, it was held, arisen due to the defendant’s own actions in failing to properly clarify his case, despite two court orders to do so. Furthermore, the extent to which his legal team were required to review disclosure documentation was something which should reasonably have been anticipated.

budget increase

Increase in costs budget approved following a ‘significant development’ in the litigation

Master Davison approves the majority of a 78% increase in the disclosure phase of the claimant’s costs budget following disclosure “of a scale and complexity that [was] much larger than was actually budgeted for” commenting that “the bar for what constitutes a significant development should not be set too high”

significant

Increase in value of claim not a significant development under s7.6 PD3E

Picken J refuses permission to appeal an order rejecting an application to revise a costs budget under s7.6 PD3E, finding that a doubling in value of the claim did not amount to a significant development

significant developments

Costs Budgeting | Significant Developments

Chief Master Marsh considers an application to revise a defendants’ costs budget under Para 7.6 of Practice Direction 3E (PD3E) in light of seven “significant developments” and examines the practicalities of such an application, in particular the treatment of costs already incurred since the original budget, as well as applications made under Para 7.9 PD3E